An alternate exercise and problem set is available in the Connect library.
E 1?1Accrual accounting
Listed below are several transactions that took place during the first two years of operations for the law firm of Pete, Pete, and Roy.
In addition, you learn that the company incurred utility costs of $35,000 in year 1, that there were no liabilities at the end of year 2, no anticipated bad debts on receivables, and that the insurance policy covers a three-year period.Required:
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